Coca-Cola Japan to pay $150 m more as tax TOKYO: US soft drink maker Coca-Cola Co's Japanese unit has to pay an extra 16 billion yen ($150.3 million) in taxes because it underreported earnings for a seven-year period, newspapers reported Saturday. Tokyo-based Coca-Cola (Japan) Co. filed a revised tax statement Friday declaring an additional 45 billion yen ($422.8 million) in income for 1993 to 1999, the Asahi newspaper and other media said. According to the reports, Coca-Cola Japan revised its declaration after consultations between Japanese and U.S. national tax authorities to see if the income deductions it made for royalty payments to its Atlanta-based parent were correct. The royalty payments were made for "intangible assets" including the Coca-Cola trademark and were deducted as expenses. The reports said Coca-Cola Japan asked for the consultations to head off an audit by the Tokyo Regional Taxation Bureau. Coca-Cola Japan and the Tokyo tax office were closed Saturday and nobody could be reached to comment on the reports.(AP)
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